(COMTEX) Colorado MEDtech Inc. Announces Warrant Call
Colorado MEDtech Inc. Announces Warrant Call
BOULDER, COLO. (July 7) BW HEALTHWIRE -July 7, 1997--Colorado MEDtech
Inc. (NASDAQ:CMED), a Boulder, Colorado-based medical products and
services company, has notified certain shareholders holding warrants
associated with a 1994 private placement of common stock that they will
have 60 days to exercise their warrants or redeem them at a call price
of $.05 per share.
The company issued 3 million warrants in the 1994 private placement
with exercise prices ranging from $1.41 to $2.68.
2,070,000 million warrants have been exercised, generating cash
proceeds of $4,630,800, leaving 930,000 available for exercise or
redemption. If the remaining warrants are exercised for cash, it will
generate $1,921,435 to the company. The company has also offered the
warrant holders the option to use certain previously held CMED common
stock as an alternative to cash in exercising their warrants.
"We feel the investment community has begun to recognize the value
we're building in this company and that reducing the number of warrants
outstanding will strengthen our equity base," said John V. Atanasoff,
president and chief executive officer of the company.
A condensed, unaudited balance sheet of CMED at May 31, 1997, prior to
the warrant call, is presented below:
Condensed Balance Sheet
May 31, 1997
(Unaudited)
(In Thousands) (In Thousands)
-------------- --------------
Current assets $21,423 Current liabilities $10,758
Property and
equipment, net 637 Long-term debt 0
Intangibles 1,633 --
Other assets 842 Shareholders' equity 13,777
------- -------
$24,535 $24,535
Colorado MEDtech is an integrated custom product development and
manufacturing services company specializing in the design, development
and manufacture of electronic and electromechanical products and
software systems for the medical device industry.
CONTACT: Colorado MEDtech Inc., Boulder
John V. Atanasoff, 303/530-2660 (president & CEO)
Bruce L. Arfmann, 303/530-2660 (CFO)
cmed@rela.uucp.netcom.com |
